Akash Loiya

324/2018
Q1. What do you think are the root causes of the problems related to working
conditions, discrimination, and the hiring of illegal immigrants at Wal-Mart?
Answer-
The root cause of the problems could be the cost-effective goals of the company. To
keep cost low company has hired many illegal immigrants to clean the floor without
maintaining the proper records.
Company is pressurizing workers to work more and record less to keep their output
high with respect to their wages. Not giving proper meals and rest hours to the worker
is also causing discomfort among workers.
Forcing employees to attend unpaid training and meetings made them file lawsuits
against company. Disparity in wages among male and female workers have fueled their
agitation to file law suits against employer.
Q2. How might these problems affect Wal-Mart in the future if they are not fixed?
Answer-
A company earns and stays in the market due to its goodwill among the customers
which is in this case deteriorating due to various law suits against it.
It can create a misogyny image in the market which can adversely affect the company
sales and profits in future if not rectified today. It can lose a productive talent pool due
to its stringent working hour policy which didn’t pay them much. It can create a scarcity
of talent pool which will reduce the productivity of the company and in long run can
very much affect the firm.
Q3. Why do you think that problems related to poor working conditions started
to emerge at Wal-Mart in the last ten years? Why didn’t they arise when Wal-
Mart was a smaller and faster growing enterprise.?
Answer-
When Walmart was in its nascent stage there were less workers and the owner himself
holds the power to manage the operations of the firm. Sam worked on its core values to
treat his employees with respect and give compensation according to their performance
but with company growth and various stores hiring independently it faded away and
that’s the reason the problems occurred 10 years after its commencement.
Q4. Has the company done all that it can do deal with these problems? What else
could it do?
Answer-
The company has taken some initial measures to deal with the problems by
Creating director for diversity.
Diversity compliance team.
Restructure its independent outside experts.
Extending workforce diversity.
But they are not enough and long run efficient they should work upon improving
goodwill in the market by
Taking timely reviews from the employees.
Creating a problem resolving committee to prevent them filing law suits and solve
them internally.
Giving equal opportunities to each worker indifferent to its gender.
Creating a log of work wages along with more transparent waging system for overtime.
Comply with the US Immigration and Customs Enforcements.